BP Sees Mixed Q1 Outlook With Flat Oil Prices, Weaker Gas Trading Ahead Of Earnings

BP PLC (NYSE:BP) shares are down Friday after the company updated first-quarter guidance.

The company expects upstream production to decline compared to the previous quarter, with slightly higher production in oil production and operations and less in gas and low-carbon energy.

In the gas and low-carbon energy segment, realizations are expected to be flattish, while gas marketing and trading results are projected to be weak.

Also, in the oil production and operations segment, the company anticipates realizations to be mostly flat due to price lags, particularly in the Gulf of Mexico and UAE.

In the customer segment, BP expects results to be impacted by reduced costs and strong midstream performance.

Also, in the products segment, the company projects results to be affected by strong realized refining margins of $0.1 billion-$0.3 billion and a lower impact from turnaround activity.

BP anticipates net debt of around $4 billion at the end of the quarter. Brent averaged $75.73/bbl in the first quarter of 2025 compared to $74.73/bbl in the fourth quarter of 2024.

Meanwhile, BP’s refining marker margin (RMM) averaged $15.2 per barrel, compared to $13.1 per barrel in the fourth quarter.

BP expects to report results for the first quarter on April 29, 2025.  

Last week, the British oil and gas giant disclosed that its board had begun the process of selecting a new chair following Helge Lund’s decision to step down.

Investors can gain exposure to the stock via Precidian ETFs Trust BP plc ADRhedged (BATS:BPH) and Texas Capital Texas Oil Index ETF  (NYSE:OILT).

BP Price Action: BP shares were slightly down 0.61% at $26.07 at publication Friday morning.

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